Balfour Beatty, the UK’s largest contractor, has revised its carbon emissions strategy, pushing back target dates.
- Originally aiming for net-zero carbon by 2040, Balfour Beatty now plans to achieve it by 2045 for scope 1 and 2 emissions.
- Scope 3 emissions, related to supply chain operations, are now expected to reach neutrality by 2050, ten years beyond the initial goal.
- Despite delays, the contractor aims to speed up social value creation, bringing forward the £3bn target to 2025.
- Balfour Beatty remains committed to advancing sustainability across various focus areas, including climate, nature, and community engagement.
Balfour Beatty has altered its timeline for reaching net-zero carbon emissions, now aiming for 2045 instead of the initially planned 2040. This adjustment pertains to scope 1 and 2 emissions, which directly arise from the company’s operations and indirectly through its energy consumption. The shift recognises the formidable challenges present in the carbon-intensive construction sector, characterised by its reliance on heavy machinery and significant use of concrete and steel.
Additionally, Balfour Beatty has set a new target for its scope 3 emissions, which involve its supply chain activities. These emissions are now anticipated to be carbon neutral by 2050. This is a decade later than previously envisioned, highlighting the complexities and external dependencies involved in addressing these indirect emissions sources. The company acknowledges the extensive efforts required to meet such aspirations within an industry heavily dependent on traditional, carbon-intensive materials and methods.
Despite these revised timelines, Balfour Beatty is accelerating its objectives in other areas. The company plans to achieve £3bn in social value by 2025, a five-year advance from its prior goal. This ambitious strategy encompasses six primary areas: climate change, nature positivity, resource efficiency, supply chain integrity, community engagement, and employee diversity, equity, and inclusion. These focal points reflect a comprehensive approach to sustainable development that goes beyond mere carbon reduction.
In Scotland, Balfour Beatty’s operations are aligned with the Scottish Government’s net-zero objectives, with a target year of 2045 still in sight. Chief Executive Leo Quinn emphasised the company’s dedication to leading industry transformation, stating, “As we continue to develop our understanding of the scale of the sustainability challenge and opportunity, we are committed to continually raising the bar to drive progress.” He underscored the role of transformative projects in steering the company towards a more sustainable and equitable economic future.
Lord Deben, chair of the sustainability consultancy Sancroft, endorsed Balfour Beatty’s approach, noting its realistic and scientifically grounded initiatives. “Business and industry alike have a significant role to play in helping drive forward sustainability initiatives in our collective journey to net zero,” he remarked, reinforcing the need for actionable and transparent plans in achieving carbon neutrality.
Balfour Beatty’s updated sustainability strategy reflects a realistic alignment with industry challenges, emphasising a balanced yet ambitious approach to carbon neutrality and social value.
